Peddlers will be shown in competition as part of Cannes' International Critics Week. The two-part Gangs of Wasseypur has also been chosen for screening as part of the 'Directors' Fortnight' programme, where the film will have its world premiere.
Speaking via Twitter, Kashyap said: "Three of our films; Peddlers, Gangs Of Wasseypur (I & II) at Cannes Film Festival. HUGE MOMENT OF PRIDE FOR US!"
Amongst all the madness... GOW was a film that almost didn't get made... if it wasn't for VIACOM 18... so the biggest thank you to them," he added.
Gangs of Wasseypur is an epic tale of generational feud, set against the backdrop of northern India's coal-stained badlands. It stars Manoj Bajpayee, Nawazuddin Siddiqui and Raima Sen.
Nawazuddin Siddiqui also stars in Miss Lovely, which has been selected for the 'Un Certain Regard' section of the festival.
Peddlers - directed by Vasan Bala - will compete for the prestigious Camera d'Or.
He has previously stated that he had to "'forfeit" his own fees to make the films he wants to make.